PI hikes of 500% are crippling the DB transfer market - PFS

According to the adviser body, advice firms have reported PI premium rising as high as 500% and has stopped them from working with clients on DB transfers. Since the Financial Conduct Authority (FCA) lifted the Financial Ombudsman Service (FOS) compensation limit from £150,000 to £350,000 in April, the PFS has been contacted by several pension transfer specialists struggling to afford PI insurance. PFS chief executive Keith Richards (pictured) said soaring premiums were a direct result of the FCA's and HM Treasury's changes to the compensation body. "The raising of the FOS compensa...